2024 (9) TMI 1137 - SCH - Income Tax

Block Assessment - prosecution with regard to undisclosed income for block assessment - Offence Committed under Section 276C(1), Section 277 read with Section 278B - Applicability of Section 158BF and its implications on penalties and prosecution - As decided by HC 2023 (3) TMI 1057 - GUJARAT HIGH COURT there being no provision existing at the relevant point of time whereby the Income Tax Department could launch a prosecution as regards income disclosed in block assessment for the period between 1.7.1995 to 1.1.1997, automatically and as a direct consequence, quashing of prosecution is the only necessary corollary. There was no requirement for the learned Coordinate Bench to have discussed with regard to applicability of Section 278E and whereas in the considered opinion of this Court, therefore, the submission of the learned Advocate for the Income Tax Department cannot be accepted - HELD THAT - We are not inclined to interfere with the impugned judgment and order of the High Court. Accordingly, the Special Leave Petition is dismissed.

Summary

The Supreme Court dismissed the Special Leave Petition without interference in the impugned judgment of the High Court. Delay was condoned, and pending applications were disposed of.